Leestma Management Files Chapter 11 Amid Independent Bank Dispute and Adelaide Pointe Development

Leestma Management, LLC, a Bradenton Beach, Florida-based real estate investment, development, and management company, filed a voluntary chapter 11 petition on April 1, 2026, in the U.S. Bankruptcy Court for the Middle District of Florida, case number 26-02696. The petition lists estimated assets and liabilities each in the $50 million to $100 million range. Leestma Management is one of five LLCs controlled by Ryan M. Leestma that filed chapter 11 petitions on the same date: Leestma Management LLC, Adelaide Pointe QOZB LLC, Adelaide Pointe Boater Services LLC, Adelaide Pointe Building 1 LLC, and Waterland Battle Creek LLC. Leestma requested joint administration of the five cases under the Leestma Management docket. The filings follow months of litigation with Independent Bank over alleged loan defaults totaling approximately $27.9 million and a state-court receivership over the Adelaide Pointe waterfront development in Muskegon, Michigan. The debtors are represented by David S. Jennis of Jennis Morse Etlinger, a Tampa-based bankruptcy firm that has practiced in the insolvency field since 1988.

Debtor	Leestma Management, LLC (5 jointly administered entities)
Court	U.S. Bankruptcy Court, Middle District of Florida
Case Number	26-02696
Petition Date	April 1, 2026
Member	Ryan M. Leestma
Counsel	David S. Jennis, Jennis Morse Etlinger (Tampa, FL)
Estimated Assets	$50 million -- $100 million
Estimated Liabilities	$50 million -- $100 million

Independent Bank Dispute and Loan Default

Independent Bank sued Leestma and the Adelaide Pointe entities on September 22, 2025, in Kent County Circuit Court, alleging defaults on loans totaling approximately $27.9 million plus interest and attorney fees. The complaint stated that two promissory notes totaling over $17 million had matured and remained unpaid in July 2025. The bank's filings alleged that the borrowers had failed to pay approximately $200,000 in property taxes, had incurred environmental violations on the property, and had not completed a bike path required under a city development agreement.

Relief sought. Independent Bank sought a court order requiring the defendants to pay the debt, foreclosure and sale of the mortgaged properties, and appointment of a third-party receiver to manage Adelaide Pointe's assets. The bank's collateral consisted of mortgages on Adelaide Pointe real estate and assignments of rents generated by the development.

Collateral and property transfer allegations. Independent Bank further alleged that Leestma transferred property used as loan collateral to joint ownership with his wife, Emily Leestma, without disclosing the transfers to the bank. The bank also claimed that Leestma had failed to maintain insurance on the property and had allowed construction liens to be filed against the project. Additionally, the bank alleged that Leestma collected over $70,000 monthly in rent from Adelaide Pointe tenants while defaulting on loan payments. When Independent Bank sent notices directing tenants to remit rent directly to the bank under an assignment of rents provision, Leestma responded that the bank's memo was "improper and illegal" and requested tenants continue paying him.

Receivership. Judge Benson initially denied the receivership request in October 2025 but reversed course after the rent dispute. On December 22, 2025, Independent Bank filed a renewed receivership argument citing the Michigan Uniform Assignment of Rents Act of 2022. On January 9, 2026, Judge Benson appointed John Polderman of Stevenson & Bullock PLC (Southfield, Michigan) as receiver over the Adelaide Pointe properties subject to Independent Bank mortgages. Judge Benson characterized an email from Leestma Management to tenants as "reckless, inaccurate and inappropriate". On February 23, 2026, the bank requested expansion of the receivership to cover the entire Adelaide Pointe property. Independent Bank then filed a summary disposition motion on March 26, 2026. Traverse City-based 4Front Credit Union was added as a plaintiff to the Independent Bank case.

Counterclaim. Leestma's legal team disclosed plans to file a counterclaim exceeding $35 million against Independent Bank, with claims including misappropriation of marina revenues, breach of contract, tortious interference, and fraudulent misrepresentation. Attorney David Jennis stated that "one lender has taken partial control of a multi-entity project and is placing its interest above those of other creditors". The chapter 11 filing halts the state-court receivership proceedings under the automatic stay.

Adelaide Pointe Waterfront Development

Adelaide Pointe is a mixed-use waterfront development on approximately 35 acres along Muskegon Lake in Muskegon, Michigan, located on the former Shaw-Walker Furniture Company industrial site at 1204 West Western Avenue. Leestma acquired the parcels for approximately $5.5 million in March 2021. The project was originally announced as a $250 million development and described as the largest Opportunity Zone project in Michigan. The site sits in a federally designated Opportunity Zone, and the development entity -- Adelaide Pointe QOZB LLC -- is structured as a Qualified Opportunity Zone Business.

Project scope. The master plan called for a 454-slip marina (165 wet slips and 285-rack dry in/out storage), 55 luxury condominium units, a multi-use building with event space and retail, boat storage and sales facilities, and public trails with shoreline access. The on-site Muskegon Brewing Co. restaurant and bar opened as part of the development, and the broader $250 million master plan included a 125-room hotel and additional residential phases.

Public financing and brownfield remediation. The City of Muskegon approved a $12 million development agreement and a $35 million brownfield plan providing tax increment financing for environmental remediation and site preparation on the former industrial property. The brownfield-eligible activities included demolition, baseline environmental assessment, vapor mitigation systems, and removal of asbestos and lead paint. The project was backed by over $85 million in private capital and Independent Bank financing of nearly $30 million.

Construction status and delays. Adelaide Pointe held a ribbon-cutting in May 2025, and the marina, boat storage, event space, and Muskegon Brewing Co. became operational. However, 34 of the 55 condo units remained incomplete at the time of the bankruptcy filing. The developer cited nine months of construction delays and unavailable demo units as factors slowing condo sales and noted that over 100 prospective buyers were awaiting a finished demo unit. Adelaide Pointe CEO Aubrey Glick stated in September 2025 that the company "understood why Independent Bank has chosen to get more involved in the day-to-day management of their collateral". In early February 2026, Leestma stated he was "in the due diligence stages of selling Adelaide Pointe" and indicated he had identified a potential buyer, stating that contracts had been signed and escrow deposits placed, with a target closing within 30 to 60 days.

Bradenton Beach Marina and Multi-State Portfolio

Leestma Management is also linked to a waterfront marina project in Bradenton Beach, Florida, at 402 Church Street North, described as an approximately $85 million mixed-use development. The Bradenton Beach marina property changed hands in 2023 when it was purchased from the Bazzy family, which had operated it for decades. That project had separately entered receivership after lenders alleged missed payments and unpaid bills tied to the site. The Bradenton Beach building department issued a stop-work order on February 9, 2026, after pilings between the marina cafe and docks were installed without a permit, and further activity was halted pending resolution.

Multi-state entity structure. The five debtor entities reflect a portfolio spanning Florida and Michigan. Leestma Management's investments included 750,000 square feet of office and industrial leased properties in West Michigan, the 35-acre Adelaide Pointe development, waterfront storage facilities, and commercial solar energy projects operated through a renewable energy subsidiary formed in 2018 that has deployed more than 1.25 million watts of solar across Leestma-owned buildings. Leestma also owns a 190,000-square-foot office building at 401 Hall Street SW in Grand Rapids purchased in 2015 for $5.3 million. Waterland Battle Creek LLC holds assets in the Battle Creek, Michigan area. Leestma's personal real estate includes a $2 million home in Muskegon and a $3 million home in Bradenton Beach.

Financing Plan and Case Path

The bankruptcy filings indicate that the debtors' combined secured debt is less than $61.5 million against a stabilized project valuation of $91.4 million. Three of the Adelaide Pointe entities reported $10 million to $50 million in liabilities and $1 million to $10 million in assets. Leestma holds $12 million in unsecured creditor claims against two of the entities. The largest unsecured creditors include Cincinnati-based Taft Stettinius & Hollister LLP ($508,492), Muskegon-based Brickley DeLong ($155,681), and Grand Rapids-based Smith Haughey Rice & Roegge ($110,092).

DIP financing. The debtors filed with $500,000 in initial DIP funding and disclosed plans for a supplemental $10 million DIP facility to complete the remaining 34 condo units. Projected gross sales from completed condos range from $27 million to $32 million. The debtors stated that completing and selling the remaining condo inventory would generate proceeds exceeding the outstanding secured debt. The filings also include an emergency motion to terminate the court-appointed receivership over part of the Adelaide Pointe property, which would return control of the development to the debtors as debtors-in-possession.

Government interest. The City of Muskegon and the Michigan Department of Environment, Great Lakes and Energy petitioned to intervene in the Kent County litigation prior to the bankruptcy filing, citing the environmental remediation and public-access obligations tied to the brownfield plan and development agreement.

Deadlines. The plan and disclosure statement deadline is July 30, 2026. The petition indicates that funds are expected to be available for distribution to unsecured creditors.

Key Timeline

The case moved from prepetition lender litigation to a multi-entity chapter 11 filing over approximately six months.

Date	Event
March 2021	Leestma acquires Muskegon lakefront parcels for ~$5.5 million
October 2021	City of Muskegon approves $12 million development agreement and $35 million brownfield plan
May 2025	Adelaide Pointe ribbon-cutting; marina and event space become operational
September 22, 2025	Independent Bank sues Adelaide Pointe entities and Leestma for ~$27.9 million in alleged loan defaults
October 2025	Judge Benson denies initial receivership request
December 22, 2025	Independent Bank files renewed receivership argument under Michigan Uniform Assignment of Rents Act
January 9, 2026	Judge Benson reverses course and appoints John Polderman as receiver over Adelaide Pointe
February 9, 2026	Bradenton Beach building department issues stop-work order at marina cafe
February 23, 2026	Independent Bank requests expansion of receivership to entire Adelaide Pointe property
March 26, 2026	Independent Bank files summary disposition motion
April 1, 2026	Leestma Management and four affiliated LLCs file chapter 11 petitions in the Middle District of Florida
July 30, 2026	Plan and disclosure statement deadline

Frequently Asked Questions

When did Leestma Management file for bankruptcy?

Leestma Management, LLC filed a voluntary chapter 11 petition on April 1, 2026, in the U.S. Bankruptcy Court for the Middle District of Florida, case number 26-02696.

How many entities are included in the filing?

Five LLCs controlled by Ryan M. Leestma filed chapter 11 petitions on the same date: Leestma Management LLC, Adelaide Pointe QOZB LLC, Adelaide Pointe Boater Services LLC, Adelaide Pointe Building 1 LLC, and Waterland Battle Creek LLC.

What are Leestma Management's estimated assets and liabilities?

The petition lists estimated assets and liabilities each in the $50 million to $100 million range. The bankruptcy filings indicate combined secured debt of less than $61.5 million against a stabilized project valuation of $91.4 million.

Who is representing Leestma Management in the bankruptcy?

David S. Jennis of Jennis Morse Etlinger, a Tampa-based bankruptcy firm, is counsel of record for the debtors.

What is the Adelaide Pointe project?

Adelaide Pointe is a mixed-use waterfront development on approximately 35 acres along Muskegon Lake in Michigan, originally announced as a $250 million project. The site includes a 454-slip marina, 55 luxury condominiums, event space, retail, a restaurant, and public trails. The project is structured as a Qualified Opportunity Zone Business.

What is the dispute with Independent Bank?

Independent Bank sued Leestma and the Adelaide Pointe entities in September 2025 alleging defaults on loans totaling approximately $27.9 million. The bank obtained a court-appointed receiver over the Adelaide Pointe properties in January 2026. Leestma plans to file a counterclaim exceeding $35 million.

For more bankruptcy case coverage, visit the ElevenFlo bankruptcy blog.